59. Current assets are ₹6,00,000 and current liabilities are ₹3,00,000. The debtors realized ₹40,000. Its impact on working capital would be :

CS Executive · Cost and Management Accounting · PYQS · June 2021
59. Current assets are ₹6,00,000 and current liabilities are ₹3,00,000. The debtors realized ₹40,000. Its impact on working capital would be :
(A) No change in working capital
(B) ₹80,000 decrease in working capital
(C) ₹40,000 increase in working capital
(D) None of the above

Answer & Explanation:

Correct Answer: Option (A)

Official answer key: (A).

Topics: Working Capital Management

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